US Export Plan - Sector Report - Food and Drink

Opportunity states

The states offering the greatest opportunities for the majority of Scottish food and drink exports are those with strong demand for premium products, a concentration of high-end restaurants and hotels, higher disposable incomes, and larger populations. States with strengths in these areas include California, New York, Massachusetts (particularly Boston), Illinois (especially Chicago) and Florida. Positively, Illinois and Florida have UK-US MOU’s in place which will further enhance trade cooperation. In addition, during Scotland’s Tartan Week in 2025, the Scottish Chambers of Commerce signed a landmark MoU with the Greater New York Chamber of Commerce, further reinforcing transatlantic business ties and placing emphasis on food and drink as a priority sector. However, New York is considered a highly competitive and expensive market to enter, therefore Massachusetts and Illinois offer potentially softer landing options while still offering commercial opportunities. In particular, Boston is viewed as strategic entry point and also benefits from presence of two In-Market specialists who can offer tailored advice to Scottish businesses entering the US market.

In particular, California stands out in the food and drink sector. California has a significant number of food and drink businesses, with 20,226 companies according to Orbis data - far surpassing any other state. For comparison, Texas ranks second with 4,393 businesses. In 2024, California also recorded the greatest number of Venture Capital (VC) deals in the sector of all US states (268), followed by New York with 89 investments^[41]. Additionally, California offers a strong premium dining experience, reflected in its status as the state with the most Michelin-starred restaurants in the country (87), which links well with Scotland’s premium export products.

A strong distribution network is also an important consideration, particularly when it comes to perishable food products such as salmon. US based importers are needed in order to do business locally. These importers could either be located in the general area where the company is doing business or at an initial entry point before the product is distributed wider. Distribution approaches vary somewhat by subsector.

For whisky, a more nuanced approach should be taken due to the added consideration of open states and control states. For example, within the open states California, Florida, Texas, New York and Illinois have the largest spirits sales^[42]. California offers the biggest state market of spirits overall, with major urban hubs like Los Angeles and San Fransico driving up demand for high-end products. But Texas is also one of the top-three spirits markets by volume and value and has high spirits consumption with strong distribution networks. However, the open nature of these states does also make them highly competitive, requiring strong distributor relationships and marketing investment. Furthermore, even open states do have local jurisdictions which need to be considered – for example in New Jersey, Municipalities have wide power, resulting in "dry towns" (no sales) and varying limits on licenses.

Control states offer the potential of large order volumes and long-term stability, but they do come with more bureaucratic hurdles to overcome. Control states with the most spirits sales are Pennsylvania, Michigan, North Carolina, Ohio and Virginia^[43].

Other notable opportunity states:

While not featuring in the top five priority sates overall, Massachusetts has proven to be an accessible market to Scottish exporters (supported by SDI specialists in Boston), with consumers who tend to favour artisanal, authentic, and health‑focused imported products. It also benefits from being close to New York but without the prohibitive cost burden. It hosts Expo North America, held in Boston, where Scottish companies have successfully showcased both fresh and value-added products. GDP in the food and drink sector in Massachusetts is high, plus it has high restaurant food service sales, signalling robust levels of consumer spending.

While Pennsylvania is a control state, the Pennsylvania Liquor Control Board (PLCB) actively imports and sells spirits statewide, including premium and specialty whiskies. While market access requires compliance with a structured and centralised process, the potential rewards include broad distribution through a unified retail system and access to a large, stable consumer base. The PLCB operates around 600 Fine Wine and Good Spirits stores across the state, including more than 110 Premium Collection stores and a retail website^[44]. Despite a slight dip in alcohol sales in 2025, the state remains one of the highest-volume spirits markets in the country. However, given the control-state structure, businesses should be prepared for greater administrative requirements, including strict PLCB licensing, product approval procedures, and compliance obligations.